Xilam: 2017 Full-Year Revenue: EUR 24.4 million, up 54%

A record year

Catalogue revenue: +77%

New Production revenue: +42%

February 01, 2018 12:20 PM Eastern Daylight Time

PARIS--(EON: Enhanced Online News)--Xilam (Paris:XIL) is announcing consolidated 2017 revenue of
EUR 24.4 million, an increase of 54%. This performance is all the more
impressive on the back of 40% growth in 2016.

“Xilam
is already the leader on the French market, and is gradually becoming
one of the top-tier providers of premium content to the world’s major
broadcasters and platforms. The relevance of the company’s investment
strategy is evident; our catalogue is becoming stronger and stronger,
with content that stimulates children’s imagination.”

With revenue of EUR 15.3 million, this growth represents a 42% increase
in value terms. This solid growth is a testament to the quality of the
new programmes offered by Xilam and the company’s ability to
build the value of its new content. Digital platforms and television
channels are now both behind the sharp rise in sales of new productions.

Catalogue: performance improving on all platforms

Catalogue revenue exceeded EUR 9 million in 2017, which is an increase
of 77% compared to last year. As such, Xilam’s Catalogue
division has passed another major milestone which attests to the
long-term strength of its brands.

This record performance is the result of more intense competition
between traditional (paid and free) TV channels and digital platforms,
in which Xilam has a very strong foothold. Digital platforms now
account for 40% of Catalogue revenue and 23% of total
revenue.

Finally, Xilam’s YouTube catalogue garnered over 2.6 billion
views in 2017, which is a 21% increase compared to last year.
This growth was primarily buoyed by the global success of the Zig &
Sharko series which, alongside Oggy & the Cockroaches, has
become a new driver for the Group’s catalogue.

An ever-increasing international presence

Xilam’s revenue growth is also due to the extremely sharp
increase in international sales, which now account for 56% of total
revenue. Standing at EUR 13.8 million,
international sales increased 80% compared to last year.

On the Catalogue segment, international revenue accounted for 89% of
revenue in 2017. Thanks to their ability to broadcast worldwide
simultaneously, digital platforms are making a major contribution to
international sales growth.

Outlook for 2018: continued growth

Stepping up the pace of premium content deliveries

Xilam is now perfectly sized in terms of resources and talent to
satisfy the sharp growth expected. In 2018, Xilam’steams
will be focused on the production of seven animated series. In
particular, Xilam will continue with deliveries of new seasons of Oggy
& the Cockroaches, the wildlife series If I were an animal,
Season 2 of Magic, and Paprika.

Xilam also has a number of new series currently in production,
including:

Mr. Magoo, which broke international pre-sale records that
should lead to a very promising future;

Coach me if you can, an original, football-themed creation from
the Xilam studio that is expected to be released worldwide and
will be launched to coincide with Euro 2020;

Season 3 of Zig & Sharko, which has already been
pre-purchased by clients that bought the previous seasons.

These series will enable Xilam to achieve its target of
delivering over 70 half-hour programmes in 2018. This step-up in
production is in line with the company's roadmap, which aims to deliver
over 100 half-hour programmes in 2020.

Xilam’s four studios (Paris, Lyon, Angoulême and Ho-Chi-Minh
City) are now fully operational and well prepared to meet this target.

Innovation and constant creativity

Other projects created in the Xilam studios will enter production
in 2018.

These include The Fabulous Adventures of Prince Mokaand
Tiny Bad Wolf, two original creations that will afford Xilam
additional growth avenues in the coming years.

New catalogue revenue streams

In 2017, Xilam announced that it had signed new merchandising
contracts, such as those signed with Lansay (toys) and Nazara (mobile
video games).

Additions to Xilam’s sales team and the set-up of an agent
network covering 75% of the world will drive growth in this segment in
2018.

Chairman and CEO of Xilam, Marc du Pontavice, commented, “Xilam
is already the leader on the French market, and is gradually becoming
one of the top-tier providers of premium content to the world’s major
broadcasters and platforms. The relevance of the company’s investment
strategy is evident; our catalogue is becoming stronger and stronger,
with content that stimulates children’s imagination.”

About Xilam

Xilam is one of Europe’s leading animation companies, producing and
distributing original children’s and family entertainment content in
both 2D and 3D formats across TV, film and digital media platforms.

Founded in 1995 by Marc du Pontavice, Xilam owns a catalogue of more
than 2,000 animated episodes and 3 feature films including strong brands
such as Oggy & the Cockroaches, Zig & Sharko, The Daltons, Rolling with
the Ronks! and its first pre-school series, Paprika.

Broadcast in over 160 countries on all the major TV networks, these
series are also breaking audience records on all the major digital
platforms, including YouTube with over 2.6 billion views in 2017,
ranking Xilam as one of the top global content providers in animation.

Xilam employs more than 400 people, including 300 artists, who are based
across its four studios located in Paris, Lyon, Angoulême and
Ho-Chi-Minh City in Vietnam.